Senior staff at Intel Ireland are to be hit by pay cuts as part of ongoing cost-cutting measures at the chipmaker.

A salary freeze is being put in place for mid-level employees.

"As we continue to navigate macro-economic headwinds and work to reduce costs across the company, we've made several adjustments to our 2023 employee compensation and rewards programmes," Intel Ireland said in a statement.

"These changes are designed to impact our executive population more significantly and will help support the investments and overall workforce needed to accelerate our transformation and achieve our long-term strategy," it said.

"We are grateful to our employees for their commitment to Intel and patience during this time as we know these changes are not easy," the company added.

Last week, Intel said it expected to lose money in the current quarter as it announced a bleaker-than-expected outlook for both the PC market and slowing growth in its key data centre division.

"We stumbled, right, we lost share, we lost momentum. We think that stabilises this year," chief executive Pat Gelsinger told investors on a conference call.

On 20 January, Intel Ireland confirmed that 30 staff were facing compulsory redundancy and in December the company announced that it had offered voluntary unpaid time off to a large portion of its Irish workforce in a bid to cut costs.

Intel is in the middle of a €12 billion investment as it continues the construction of its "Fab 34" plant in Leixlip in Co Kildare.

When it is completed, Intel will employ about 6,500 people in Ireland.

News of pay cuts for senior staff at Intel was first reported by the Business Post.